• Semi-Hemi-Lemmygod@lemmy.world
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    4 months ago

    Another thing that raising the corporate tax rate does is make it more profitable to re-invest your income into the company. Since they’re only taxed on profits they’ll pay zero taxes if they make zero profit. How do you do that? Expanding your business, spending money on R&D, and paying your employees more.

    Edit: Haha, just kidding, they’ll blow it on stock buybacks.

    • thatKamGuy@sh.itjust.works
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      4 months ago

      Ideally, yes - but until share buybacks are outlawed - companies will just ‘reinvest’ by buying up shares (increasing their price, and thereby existing shareholder wealth), and issuing them as bonuses to their C-suite in lieu of payment… by-and-large avoiding a lot of the income tax that they would otherwise be due to be paid.

      Our current late-stage capitalist corporate system is built upon layers and layers of tax-avoidance and self-enrichment at the cost of society as a whole.

        • wanderingmagus@lemm.ee
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          4 months ago

          Then put them all in the prisons and enslave them, as is legally allowed per the Constitution. They’ll work with sufficient coercion. Have the CIA seize their overseas assets and repatriate it all, or if it’s in a hostile country, have the CIA exfiltrate or destroy as necessary. Humans will work when enough physical and psychological pain is applied to coerce them. That, too, is human nature. If they attempt to flee, have the CIA find them, put them in unmarked vehicles, and extradite them back to US soil to be put back to work.